Chery’s two overseas-focused brands, Omoda and Jaecoo, have officially announced their entry into the Canadian market by the end of 2026, positioning their product lines on premium electric and hybrid SUVs. The two brands have launched preview websites in Canada to collect information from interested users, and are simultaneously building a nationwide dealer network, with multiple mature models already launched in European, Australian and New Zealand markets set to be introduced first.

Geely also formally established Geely Canada Inc. in October, kicking off the construction of its local retail and service system, with its first batch of models scheduled to hit the market in 2027.

The electric vehicle tariff quota agreement reached between China and Canada in early 2026 serves as the core policy dividend for this round of expansion. Only 30% of the annual 49,000 tax-exempt quota has been used so far, but Tesla’s Shanghai-made vehicles have suspended deliveries in Canada as the company’s individual allocated quota has been exhausted. This means the ability to secure stable quota allocation will become a core competitive factor for new entrants.

Against this backdrop of the rapidly warming new energy vehicle market in Canada, legacy automakers have pushed down the price of mainstream EVs to the US$23,000-$32,000 (CAD 35,000-45,000). With nearly half of local potential EV consumers willing to wait for Chinese brand vehicles to launch, and the full-process polishing value of the Canadian Motor Vehicle Safety Standards (CMVSS) for the North American regulatory system, the Canadian market is evolving into a key forward position for Chinese automakers to tap into the broader North American market.

Source: China Automotive News     Read The Article

PSR Analysis: The opening of the Canadian market has delivered a tangible incremental springboard for the globalization of Chinese electric vehicles. Under the Sino-Canada EV tariff quota agreement signed in early 2026, nearly 33,000 tax-exempt import slots remain.

Vehicles within the quota only need to pay a basic tariff of 6.1%, which directly lowers the cost threshold for Chinese car imports. Coupled with the fact that nearly half of local consumers planning to buy EVs have explicitly stated they are willing to wait for Chinese brands to launch, carmakers including Chery and Geely, which have already completed vehicle launch validation in Europe and Australia, can directly bring their mature pure electric and hybrid SUVs to the market.

They can tap into the mainstream US$23,000-US$32,000) (32,000-45,000 CAD) family vehicle segment with configuration and cost-effectiveness advantages. This could enable them to capture the first batch of users riding the local EV sales boom that sees a 55% year-on-year growth.

More practically, by entering the Canadian market, carmakers can fully go through the CMVSS North American safety certification, as well as vehicle and battery cold-weather tests under temperatures dozens of degrees below zero. This allows them to get a thorough grasp of North American market rules and accumulate real experience for future local plant construction and further expansion into the broader North American market.

However, there are quite a few hurdles standing in the way of actual implementation. Local legacy brands in Canada have taken the lead in making moves: carmakers themselves offer subsidies of up to USD $9,200 (13,000 CAD), which are stacked on top of the USD $3,500 (5,000 CAD) federal EV purchase rebate. This has directly pushed the terminal price of mainstream EVs down from above USD $28,300 (40,000 CAD) to the USD $24,800 (35,000 CAD) range.

But Chinese-made vehicles are not eligible for this federal rebate. To maintain the price advantage that local consumers expect from Chinese cars, these brands have to give up part of their profit margin. The most critical issue lies in the quota allocation: the total 49,000 annual slots are not distributed equally to all applicants on a first-come-first-served basis. How many slots each carmaker can finally obtain depends entirely on separate negotiations with the local government, with no clear public standards.

Tesla’s Shanghai-made Model 3s have been delisted and suspended for sale on Tesla’s Canadian official website after the brand exhausted its individual quota. For new entrants like Chery and Geely, how many quotas they can secure and how many vehicles they can ship in for the first batch will, more than the product strength of the cars themselves, determine how far they can go in the initial stage.PSR

Jack Hao is Senior Research Manager – China

Source: Transporte Moderno     Read The Article

PSR Analysis. Chinese truck makers are expanding beyond light urban delivery trucks into heavier and more specialized applications. To gain market share, they will need to earn fleet operators’ trust in the trucks themselves and, above all, in the reliability of aftersales service and the availability of spare parts.

PSR expects these brands to gain share gradually, following a pattern similar to DAF’s expansion in Brazil over the years, though on a different scale given differences in technology and investment. PSR’s sales and production forecasts already reflect this gradual growth.PSR

The Power Systems Research Truck Production Index (PSR-TPI) decreased from 131 to 120, or 8.4%, for the three-month period ending Sept. 30, 2026, from Q2 2026. The year-over-year (Q3 2025 to Q3 2026) gain for the PSR-TPI was, 118 to 120, or 1.7%. The PSR-TPI measures truck production globally and across six regions: North America, China, Europe, South America, Japan & Korea and Emerging Markets.

This data comes from OE Link, the proprietary database maintained by Power Systems Research.

All Regions. MHCV demand will vary by region in 2026. North America and European have seen orders increase through much of the first half of the year and vehicle demand is expected to improve somewhat over last year, China is expected to see a single digit decline in production much of the decline comes on the heels of very high levels of production in 2025.

Global Index. Overall, global MHCV production is expected to increase by 1% in 2026 over last year primarily driven by growth in North America and Western Europe. High global fuel prices are expected to continue through the remainder of the year even though shipping volume has improved through the Strait of Hormuz.

North America. Medium and heavy truck production in North America is expected to increase by 13.4% this year compared with low 2025 production. Class 8 truck production is expected to increase by 13.8% this year as order rates for class 8 trucks improved strongly throughout much of the year. Improvement in freight rates and freight demand along with tightening truck capacity and some level of truck pre-buy ahead of the 2027 GHG emission regulations is expected to drive increased truck production this year. PSR

Jim Downey is Vice President-Global Data Products at Power Systems Research
Chris Fisher is the Senior Commercial Vehicle Analyst at Power Systems Research

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink , which provides information on engines, and OE Link, a database of equipment manufacturers.

Market Share. With 61% of total units produced, Deere captured the lead for Combine production in North America (US).  In second position, Case with 23.5%; third, Claas Omaha with 9%.

Exports: Up to 30% worldwide.

Trends. The 2025 production of combines in North America decreased 19%, dropping from 4,300 in 2024 to 3,500 in 2025.  Production is expected to drop 18% from 2025-2026.  The 2026 decrease is mostly due to CLAAS moving production of their 8000 Series to Germany, rising production expenses along with a drop in commodity pricing and market uncertainty. 

In previous years, Covid-19 related factors played a role in the decline, especially for parts availability and a drop in orders for new machinery.  Sales of combines picked up in Q4 2020 after a tough spring for sales. 

Combines overall boost crop output and farm income.  “The increase reflects farmer sentiment about the future of their operations. It’s a decent early indicator of whether folks are enthusiastic about where markets are headed,” according to Curt Blades, senior VP of agriculture for AEM. 

This is a favorable sign. A few years ago, farmers were reluctant to buy or trade in pricey equipment because of lower commodity prices.  For instance, in 2017, production and purchases of new combines rebounded as portrayed in production figures. The gain can be attributed to an increase in commodity prices such as corn and soybeans that peaked in 2013/2014.

Case attributed the 2023 decline to supply chain issues.  Deere announced job cuts at three Midwest production facilities due to softening demand for tractors and combines. “These changes are being made due to reduced demand for the products produced at these facilities,” Deere & Co. noted in a news release. “Industry sales are expected to further decline in the back half of fiscal year 2024. To better position Deere to meet future demand, we continue to take proactive steps to reduce production and inventory.”

Expect production of combines to gain 5% by 2035.   PSR

Brazil’s Senate has approved “Redata”, a tax incentive regime requiring data centers to meet their electricity demand with renewable or low-emission energy. The conditions for receiving the tax benefits include data centers meeting their electricity demands by using renewable or low-emission energy sources.

“Redata” suspends federal taxes on equipment and components acquired domestically or imported for use in data centers. The tax suspension will cover import duties and the Tax on Industrialized Products. It will apply for five years.

In return, companies claiming “Redata” must allocate at least 10% of their data processing, storage and handling capacity to the Brazilian market; comply with sustainability criteria; meet contracted electricity demand through supply agreements or self-generation using renewable or low-emission sources; comply with water-efficiency limits for cooling systems; and invest in Brazil an amount equivalent to 2% of the value of products acquired under the tax incentive

Source: PV Magazine: Read The Article

PSR Analysis: This legislation is significant in that Brazil’s data center market is expanding rapidly and this legislation commits data center owners to strict conditions that should mitigate some of the less desirable data center outcomes.  PSR

Canadian Groupe Bellemare has partnered with the Institut du véhicule innovant (IVI) on a three-year program called Plug-In Fleet Heavy Equipment. The purpose of this program is to test and document the equipment’s performance on a functioning job site.

The results are outstanding – Groupe Bellemare says it’s spent less than $54,000 for roughly 15,000 hours of operating costs. It’s added that the diesel machines it replaced would have burned an estimated $423,000 of diesel over the same period, giving the company more than an 87% drop in fuel costs.

Source: Electrek: Read The Article

PSR Analysis: Despite claims by some organizations (like the Wall Street Journal) that electric machines would struggle to compete, even if Diesel was $8 per gallon, it is very clear that there are some significant savings to be made by fleet electrification.  PSR

PFAS or Per- and polyfluoroalkyl substances are a group of synthetic organofluorine chemical compounds that have multiple fluorine atoms attached to an alkyl chain and are often referred to as forever chemicals. Being PFAS free is important because PFAS contamination threatens public health, wildlife and the quality of our natural environment.

Source: PV Magazine: Read The Article

PSR Analysis: Capital costs and production costs are expected to be much lower since this production process doesn’t use toxic solvents. A 10% or even 15% improvement in energy density of a battery is a big plus, leading to improved range or weight reduction. However, as usual with this new technology, it will be some time before it appears in your battery powered machine.  PSR

The company already had plans in place to reduce its workforce by 50,000. The new plan adds another 50,000 to that number, bringing the total to 100,000. The plan also calls for eliminating half of all the models currently offered and the plan leaves the fate of four factories in Germany (Emden, Zwickau, Hanover and Neckarsulm plants) undecided.

Source: Clean Technica: Read The Article

PSR Analysis: Most of the legacy auto makers are suffering in one way or another, and this move by VW is all about cost reduction via model simplification. Whether the plan survives (and actually, whether VW survives) will largely depend on how the powerful auto unions respond to this. PSR